a.
NuTronics, Inc.
Schedule of the Cost of Finished Goods Manufactured
For the Year Ended December 31, 2011
1. Direct materials used: $195,000
2. Direct labor: $124,000
3. Overhead: $192,000
4. Total manufacturing costs: (1+2+3) $511,000
5. Add: Beginning inventory of work in process: $12,000
6. Less: Ending inventory of work in process: $8,000
7. Cost of finished goods manufactured: (4+5-6) $515,000
b.
Assuming that 20,000 units were completed during the year, the average per-unit cost of manufacturing this product is:
Cost of finished goods manufactured / Number of units completed = $515,000 / 20,000 = $25.75 per unit.
The accounting records of NuTronics, Inc., include the following information for the year ended December 31, 2011.
Dec. 31 Jan. 1
Inventory of materials $ 24,000 $ 20,000
Inventory of work in process 8,000 12,000
Inventory of finished goods 90,000 80,000
Direct materials used 195,000
Direct labor 124,000
Selling expenses 170,000
General and administrative expenses 140,000
Overhead is assigned to production at $192,000.
a.
Prepare a schedule of the cost of finished goods manufactured.
NuTronics, Inc.
Schedule of the Cost of Finished Goods Manufactured
For the Year Ended December 31, 2011. Make a journal
b.
Assume that the company manufactures a single product and that 20,000 units were completed during the year. What is the average per-unit cost of manufacturing this product?
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